Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.4-E, 24075-24077 [2024-07216]
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Federal Register / Vol. 89, No. 67 / Friday, April 5, 2024 / Notices
other venues to be more favorable. In
such an environment, the Exchange
must continually adjust its fees and
rebates to remain competitive with other
exchanges and with off-exchange
venues.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section
19(b)(3)(A)(ii) of the Act.31
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is: (i) necessary or appropriate in
the public interest; (ii) for the protection
of investors; or (iii) otherwise in
furtherance of the purposes of the Act.
If the Commission takes such action, the
Commission shall institute proceedings
to determine whether the proposed rule
should be approved or disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
khammond on DSKJM1Z7X2PROD with NOTICES
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include file number SR–
NASDAQ–2024–016 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
All submissions should refer to file
number SR–NASDAQ–2024–016. This
file number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
internet website (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549, on official
business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also
will be available for inspection and
copying at the principal office of the
Exchange. Do not include personal
identifiable information in submissions;
you should submit only information
that you wish to make available
publicly. We may redact in part or
withhold entirely from publication
submitted material that is obscene or
subject to copyright protection. All
submissions should refer to file number
SR–NASDAQ–2024–016 and should be
submitted on or before April 26, 2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.32
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2024–07227 Filed 4–4–24; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–99881; File No. SR–
NYSEARCA–2024–30]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Rule 7.4–E
April 1, 2024.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 25,
2024, NYSE Arca, Inc. (‘‘NYSE Arca’’ or
the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the self-regulatory organization. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
32 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
31 15
U.S.C. 78s(b)(3)(A)(ii).
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16:44 Apr 04, 2024
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24075
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Rule 7.4–E (Ex-Dividend or Ex-Right
Dates) to conform to amendments to
Rule 15c6–1(a) of the Act to shorten the
standard settlement cycle for most
broker-dealer transactions from two
business days after the trade date
(‘‘T+2’’) to one business day after the
trade date (‘‘T+1’’). The proposed rule
change is available on the Exchange’s
website at www.nyse.com, at the
principal office of the Exchange, and at
the Commission’s Public Reference
Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
On March 6, 2023, the Commission
adopted amendments to Rule 15c6–1(a)
of the Act to shorten the standard
settlement cycle for most broker-dealer
transactions from T+2 to T+1.3
Accordingly, the Exchange proposes to
amend Rule 7.4–E to conform with the
amendments to Rule 15c6–1(a) and
reflect a standard settlement cycle of
T+1.
Rule 7.4–E currently provides that
transactions in stocks traded ‘‘regular
way’’ are generally ‘‘ex-dividend’’ or
‘‘ex-rights’’ on the business day
preceding the record date fixed by the
company or the date of the closing of
transfer books. The rule further provides
that, if the record date or closing of
transfer books occur on a day other than
a business day, transactions would be
‘‘ex-dividend’’ or ‘‘ex-rights’’ on the
second preceding business day.
The Exchange proposes to amend
Rule 7.4–E to provide, in conformity
3 See Securities Exchange Act Release No. 96930,
88 FR 13872 (March 6, 2023) (‘‘T+1 Adopting
Release’’).
E:\FR\FM\05APN1.SGM
05APN1
24076
Federal Register / Vol. 89, No. 67 / Friday, April 5, 2024 / Notices
with the transition to a T+1 settlement
cycle, that transactions in stocks traded
‘‘regular way’’ generally will be ‘‘exdividend’’ or ‘‘ex-rights’’ on the record
date fixed by the company or the date
of the closing of transfer books, or if the
record date or closing of transfer books
occur on a day other than a business
day, on the preceding business day.
Implementation
The Exchange proposes that the
operative date of this proposed rule
change will be Tuesday, May 28, 2024,
which is the compliance date specified
in the T+1 Adopting Release, or such
later date as may be announced by the
Commission for compliance with the
amendments to Rule 15c6–1(a) set forth
in the T+1 Adopting Release.4 With the
implementation of the T+1 settlement
cycle and as described in the proposed
changes outlined above, the ex-dividend
date for ‘‘normal’’ distributions will be
the same business day as the record
date. Accordingly, the Exchange
proposes that Wednesday, May 29, 2024
would be the first date to which the
proposed rules described herein would
apply (i.e., the first record date to which
the new ex-dividend date rationale will
be applied). During the implementation
of the T+1 settlement cycle, the
Exchange proposes that the ex-dividend
dates will be as follows:
Record date
khammond on DSKJM1Z7X2PROD with NOTICES
May 24, 2024 ............
May 28, 2024 ............
May 29, 2024 ............
Ex-dividend date
May 23, 2024.
May 24, 2024.
May 29, 2024.
A record date of Friday, May 24, 2024
would be a date prior to the effective
date of the amendments to Rule 15c6–
1(a) of the Act to shorten the standard
settlement cycle for most broker-dealer
transactions from T+2 to T+1.5 The
rules described above would apply to
this record date in their current form
and, thus, the ‘‘ex-dividend date’’ would
be the first business day preceding the
record date or Thursday, May 23, 2024.
Monday, May 27, 2024 is Memorial Day,
which is an Exchange holiday;
accordingly, there would be no record
date on a holiday. A record date of
Tuesday, May 28, 2024 would also fall
under the Exchange’s current rules, and
the first business day preceding such
record date would be Friday, May 24,
2024. On Wednesday, May 29, 2024, the
proposed rules described above would
apply, such that, for the record date of
May 29, 2024, the ‘‘ex-dividend date’’
would be the same business day.
4 See
5 See
id.
note 3, supra.
VerDate Sep<11>2014
16:44 Apr 04, 2024
The Exchange will issue a Trader
Notice regarding the implementation of
the proposed rule change and T+1
settlement cycle, which date would
correspond with the industry-led
transition to a T+1 standard settlement,
and the compliance date of the
Commission’s amendment of Rule
15c6–1(a) of the Act to require standard
settlement no later than T+1.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Act,6 in general, and
furthers the objectives of Section 6(b)(5)
of the Act,7 in particular, because it is
designed to prevent fraudulent and
manipulative acts and practices,
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and remove
impediments to and perfect the
mechanism of a free and open market
and a national market system, and, in
general, to protect investors and the
public interest.
In particular, the proposed rule
change would amend the Exchange’s
rules to reflect a standard settlement
cycle of T+1, in support of the industryled initiative to shorten the settlement
cycle to one business day. Moreover, the
proposed rule change is consistent with
the Commission’s amendments to Rule
15c6–1(a) of the Act to require standard
settlement no later than T+1. The
Exchange believes that the proposed
rule change would provide regulatory
certainty to facilitate the industry-led
move to a T+1 settlement cycle. The
Exchange further believes that, by
shortening the time period for
settlement of most securities
transactions, the proposed rule change
would protect investors and the public
interest by reducing the number of
unsettled trades in the clearance and
settlement system at any given time,
thereby reducing the risk inherent in
settling securities transactions to
clearing corporations, their members,
and public investors.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed change is not designed to
address any competitive issue, but
rather to support the industry’s
6 15
7 15
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U.S.C. 78f(b).
U.S.C. 78f(b)(5).
Frm 00116
Fmt 4703
transition to a T+1 regular-way
settlement cycle in conformity with the
Commission’s amendment of Rule
15c6–1(a). The proposed change amends
the Exchange’s rules pertaining to
securities settlement, which rules would
apply uniformly to all contracts for the
purchase or sale of a security (other than
exempted securities) that provide for
payment of funds and delivery of
securities that occur on the Exchange or
other self-regulatory organizations, and
is intended to facilitate the industrywide transition to a T+1 settlement
cycle. The Exchange also believes that
the proposed rule change will serve to
promote clarity and consistency in its
rules, thereby reducing burdens on the
marketplace and facilitating investor
protection. Accordingly, the Exchange
believes that the proposed changes do
not impose any burden on competition
other than that necessary to implement
the amendments to Rule 15c6–1(a) of
the Act as set forth in the T+1 Adopting
Release.8
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not:
(i) significantly affect the protection of
investors or the public interest;
(ii) impose any significant burden on
competition; and
(iii) become operative for 30 days
from the date on which it was filed, or
such shorter time as the Commission
may designate, it has become effective
pursuant to Section 19(b)(3)(A) of the
Act and Rule 19b–4(f)(6) thereunder.
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
8 See
Sfmt 4703
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note 3, supra.
05APN1
Federal Register / Vol. 89, No. 67 / Friday, April 5, 2024 / Notices
Comments may be submitted by any of
the following methods:
SMALL BUSINESS ADMINISTRATION
Electronic Comments
Reporting and Recordkeeping
Requirements Under OMB Review
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include file number SR–
NYSEARCA–2024–30 on the subject
line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
khammond on DSKJM1Z7X2PROD with NOTICES
All submissions should refer to file
number SR–NYSEARCA–2024–30. This
file number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
internet website (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549, on official
business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also
will be available for inspection and
copying at the principal office of the
Exchange. Do not include personal
identifiable information in submissions;
you should submit only information
that you wish to make available
publicly. We may redact in part or
withhold entirely from publication
submitted material that is obscene or
subject to copyright protection. All
submissions should refer to file number
SR–NYSEARCA–2024–30 and should be
submitted on or before April 26, 2024.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2024–07216 Filed 4–4–24; 8:45 am]
BILLING CODE 8011–01–P
9 17
CFR 200.30–3(a)(12).
VerDate Sep<11>2014
16:44 Apr 04, 2024
Jkt 262001
Small Business Administration.
30-Day notice.
AGENCY:
ACTION:
The Small Business
Administration (SBA) is seeking
approval from the Office of Management
and Budget (OMB) for the information
collection described below. In
accordance with the Paperwork
Reduction Act and OMB procedures,
SBA is publishing this notice to allow
all interested member of the public an
additional 30 days to provide comments
on the proposed collection of
information.
SUMMARY:
Submit comments on or before
May 6, 2024.
ADDRESSES: Written comments and
recommendations for this information
collection request should be sent within
30 days of publication of this notice to
www.reginfo.gov/public/do/PRAMain.
Find this particular information
collection request by selecting ‘‘Small
Business Administration’’; ‘‘Currently
Under Review,’’ then select the ‘‘Only
Show ICR for Public Comment’’
checkbox. This information collection
can be identified by title and/or OMB
Control Number.
FOR FURTHER INFORMATION CONTACT: You
may obtain a copy of the information
collection and supporting documents
from Curtis Rich, Agency Clearance
Officer at curtis.rich@sba.gov; (202)
205–7030 or from www.reginfo.gov/
public/do/PRAMain.
SUPPLEMENTARY INFORMATION: SBA Form
172 is only used by lenders for loans
that have been purchased by SBA and
are being serviced by approved SBA
lending partners. The lenders use the
SBA Form 172 to report loan payment
data to SBA on a monthly basis. The
purpose of this reporting is to (1) show
the remittance due SBA on a loan
serviced by participating lending
institutions (2) update the loan
receivable balances.
DATES:
Solicitation of Public Comments
Comments may be submitted on (a)
whether the collection of information is
necessary for the agency to properly
perform its functions; (b) whether the
burden estimates are accurate; (c)
whether there are ways to minimize the
burden, including through the use of
automated techniques or other forms of
information technology; and (d) whether
there are ways to enhance the quality,
utility, and clarity of the information.
OMB Control 3245–0131.
PO 00000
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24077
Title: Transaction Report on Loans
Serviced by Lender.
Description of Respondents: SBA
Lenders.
SBA Form Number: SBA Form 172.
Estimated Number of Respondents:
542.
Estimated Annual Responses: 28,256.
Estimated Annual Hour Burden:
4,709.
Curtis Rich,
Agency Clearance Officer.
[FR Doc. 2024–07229 Filed 4–4–24; 8:45 am]
BILLING CODE 8026–09–P
DEPARTMENT OF STATE
[Public Notice: 12365]
Notice of Determinations; Culturally
Significant Objects Being Imported for
Exhibition—Determinations: ‘‘Thomas
Schu¨tte’’ Exhibition
Notice is hereby given of the
following determinations: I hereby
determine that certain objects being
imported from abroad pursuant to
agreements with their foreign owners or
custodians for temporary display in the
exhibition ‘‘Thomas Schu¨tte’’ at The
Museum of Modern Art, New York, New
York, and at possible additional
exhibitions or venues yet to be
determined, are of cultural significance,
and, further, that their temporary
exhibition or display within the United
States as aforementioned is in the
national interest. I have ordered that
Public Notice of these determinations be
published in the Federal Register.
SUMMARY:
FOR FURTHER INFORMATION CONTACT:
Reed Liriano, Program Coordinator,
Office of the Legal Adviser, U.S.
Department of State (telephone: 202–
632–6471; email: section2459@
state.gov). The mailing address is U.S.
Department of State, L/PD, 2200 C Street
NW (SA–5), Suite 5H03, Washington,
DC 20522–0505.
The
foregoing determinations were made
pursuant to the authority vested in me
by the Act of October 19, 1965 (79 Stat.
985; 22 U.S.C. 2459), Executive Order
12047 of March 27, 1978, the Foreign
Affairs Reform and Restructuring Act of
1998 (112 Stat. 2681, et seq.; 22 U.S.C.
6501 note, et seq.), Delegation of
Authority No. 234 of October 1, 1999,
Delegation of Authority No. 236–3 of
August 28, 2000, and Delegation of
SUPPLEMENTARY INFORMATION:
E:\FR\FM\05APN1.SGM
05APN1
]]>Agencies
[Federal Register Volume 89, Number 67 (Friday, April 5, 2024)]
[Notices]
[Pages 24075-24077]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-07216]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-99881; File No. SR-NYSEARCA-2024-30]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.4-E
April 1, 2024.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on March 25, 2024, NYSE Arca, Inc. (``NYSE Arca'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend Rule 7.4-E (Ex-Dividend or Ex-Right
Dates) to conform to amendments to Rule 15c6-1(a) of the Act to shorten
the standard settlement cycle for most broker-dealer transactions from
two business days after the trade date (``T+2'') to one business day
after the trade date (``T+1''). The proposed rule change is available
on the Exchange's website at www.nyse.com, at the principal office of
the Exchange, and at the Commission's Public Reference Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
On March 6, 2023, the Commission adopted amendments to Rule 15c6-
1(a) of the Act to shorten the standard settlement cycle for most
broker-dealer transactions from T+2 to T+1.\3\ Accordingly, the
Exchange proposes to amend Rule 7.4-E to conform with the amendments to
Rule 15c6-1(a) and reflect a standard settlement cycle of T+1.
---------------------------------------------------------------------------
\3\ See Securities Exchange Act Release No. 96930, 88 FR 13872
(March 6, 2023) (``T+1 Adopting Release'').
---------------------------------------------------------------------------
Rule 7.4-E currently provides that transactions in stocks traded
``regular way'' are generally ``ex-dividend'' or ``ex-rights'' on the
business day preceding the record date fixed by the company or the date
of the closing of transfer books. The rule further provides that, if
the record date or closing of transfer books occur on a day other than
a business day, transactions would be ``ex-dividend'' or ``ex-rights''
on the second preceding business day.
The Exchange proposes to amend Rule 7.4-E to provide, in conformity
[[Page 24076]]
with the transition to a T+1 settlement cycle, that transactions in
stocks traded ``regular way'' generally will be ``ex-dividend'' or
``ex-rights'' on the record date fixed by the company or the date of
the closing of transfer books, or if the record date or closing of
transfer books occur on a day other than a business day, on the
preceding business day.
Implementation
The Exchange proposes that the operative date of this proposed rule
change will be Tuesday, May 28, 2024, which is the compliance date
specified in the T+1 Adopting Release, or such later date as may be
announced by the Commission for compliance with the amendments to Rule
15c6-1(a) set forth in the T+1 Adopting Release.\4\ With the
implementation of the T+1 settlement cycle and as described in the
proposed changes outlined above, the ex-dividend date for ``normal''
distributions will be the same business day as the record date.
Accordingly, the Exchange proposes that Wednesday, May 29, 2024 would
be the first date to which the proposed rules described herein would
apply (i.e., the first record date to which the new ex-dividend date
rationale will be applied). During the implementation of the T+1
settlement cycle, the Exchange proposes that the ex-dividend dates will
be as follows:
---------------------------------------------------------------------------
\4\ See id.
------------------------------------------------------------------------
Record date Ex-dividend date
------------------------------------------------------------------------
May 24, 2024.............................. May 23, 2024.
May 28, 2024.............................. May 24, 2024.
May 29, 2024.............................. May 29, 2024.
------------------------------------------------------------------------
A record date of Friday, May 24, 2024 would be a date prior to the
effective date of the amendments to Rule 15c6-1(a) of the Act to
shorten the standard settlement cycle for most broker-dealer
transactions from T+2 to T+1.\5\ The rules described above would apply
to this record date in their current form and, thus, the ``ex-dividend
date'' would be the first business day preceding the record date or
Thursday, May 23, 2024. Monday, May 27, 2024 is Memorial Day, which is
an Exchange holiday; accordingly, there would be no record date on a
holiday. A record date of Tuesday, May 28, 2024 would also fall under
the Exchange's current rules, and the first business day preceding such
record date would be Friday, May 24, 2024. On Wednesday, May 29, 2024,
the proposed rules described above would apply, such that, for the
record date of May 29, 2024, the ``ex-dividend date'' would be the same
business day.
---------------------------------------------------------------------------
\5\ See note 3, supra.
---------------------------------------------------------------------------
The Exchange will issue a Trader Notice regarding the
implementation of the proposed rule change and T+1 settlement cycle,
which date would correspond with the industry-led transition to a T+1
standard settlement, and the compliance date of the Commission's
amendment of Rule 15c6-1(a) of the Act to require standard settlement
no later than T+1.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\6\ in general, and furthers the
objectives of Section 6(b)(5) of the Act,\7\ in particular, because it
is designed to prevent fraudulent and manipulative acts and practices,
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and remove
impediments to and perfect the mechanism of a free and open market and
a national market system, and, in general, to protect investors and the
public interest.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
In particular, the proposed rule change would amend the Exchange's
rules to reflect a standard settlement cycle of T+1, in support of the
industry-led initiative to shorten the settlement cycle to one business
day. Moreover, the proposed rule change is consistent with the
Commission's amendments to Rule 15c6-1(a) of the Act to require
standard settlement no later than T+1. The Exchange believes that the
proposed rule change would provide regulatory certainty to facilitate
the industry-led move to a T+1 settlement cycle. The Exchange further
believes that, by shortening the time period for settlement of most
securities transactions, the proposed rule change would protect
investors and the public interest by reducing the number of unsettled
trades in the clearance and settlement system at any given time,
thereby reducing the risk inherent in settling securities transactions
to clearing corporations, their members, and public investors.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed change is not
designed to address any competitive issue, but rather to support the
industry's transition to a T+1 regular-way settlement cycle in
conformity with the Commission's amendment of Rule 15c6-1(a). The
proposed change amends the Exchange's rules pertaining to securities
settlement, which rules would apply uniformly to all contracts for the
purchase or sale of a security (other than exempted securities) that
provide for payment of funds and delivery of securities that occur on
the Exchange or other self-regulatory organizations, and is intended to
facilitate the industry-wide transition to a T+1 settlement cycle. The
Exchange also believes that the proposed rule change will serve to
promote clarity and consistency in its rules, thereby reducing burdens
on the marketplace and facilitating investor protection. Accordingly,
the Exchange believes that the proposed changes do not impose any
burden on competition other than that necessary to implement the
amendments to Rule 15c6-1(a) of the Act as set forth in the T+1
Adopting Release.\8\
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\8\ See note 3, supra.
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C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule change does not:
(i) significantly affect the protection of investors or the public
interest;
(ii) impose any significant burden on competition; and
(iii) become operative for 30 days from the date on which it was
filed, or such shorter time as the Commission may designate, it has
become effective pursuant to Section 19(b)(3)(A) of the Act and Rule
19b-4(f)(6) thereunder.
At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act.
[[Page 24077]]
Comments may be submitted by any of the following methods:
Electronic Comments
Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an email to [email protected]. Please include
file number SR-NYSEARCA-2024-30 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.
All submissions should refer to file number SR-NYSEARCA-2024-30. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for website viewing and
printing in the Commission's Public Reference Room, 100 F Street NE,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also will be available for
inspection and copying at the principal office of the Exchange. Do not
include personal identifiable information in submissions; you should
submit only information that you wish to make available publicly. We
may redact in part or withhold entirely from publication submitted
material that is obscene or subject to copyright protection. All
submissions should refer to file number SR-NYSEARCA-2024-30 and should
be submitted on or before April 26, 2024.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
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\9\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2024-07216 Filed 4-4-24; 8:45 am]
BILLING CODE 8011-01-P
